HSBC charges

yummymoney

Hi, I wonder if anyone can help please?
I recently paid in two cheques with HSBC (in branch) for $500 and $650 I was told it would cost me £16 per cheque, I reluctantly agreed . (Incidentally it was the manager of the branch that told me the costs were £16)

i subsequently checked my balance and when querying with them was informed that "HSBC had actually charged me £28 for the $680 cheque and there was also an "agent" fee of $45.
The $500 cheque was also charged a WAPPING $120!!!!!:eek: as well as the additional £28.

As I say, at the time I was told of none of this instead being initially told of a £16 charge for each cheque and when I queeried these MASSIVE charges i was told "well Sir, we do regularly send out our terms and conditions leaflets"

The thing I would like to know is, is there anything i can do about this because had I of known of the enormous charges i would have gone elsewhere..

Lokolo

Did you not read the T&Cs beforehand?

I would complain about the manager's advice but at the same time I would have read the T&Cs myself...

YorkshireBoy

Previous thread on this matter here...

https://forums.moneysavingexpert.com/discussion/4335659=

It went downhill...fast! Maybe that's why there's now a 2nd attempt being made?

Then again, in the earlier thread it was one cheque - now it's two...so possibly the OP has been bitten twice?


EDIT: OP, here's the HSBC 'price list'...

http://www.hsbc.co.uk/1/PA_esf-ca-app-content/content/pws/content/personal/pdfs/gen-price-list-2012.pdf

See the section on "Negotiation of a Foreign Cheque", in particular this bit...

"In addition to our fees, any fees charged by our agent and/or correspondent banks and/or the bank on which the foreign cheque is drawn will also be deducted from your account".

Seems like a licence to print money to me (unless it was possible to give you a quote beforehand and give you the option as to whether to proceed or not?), but these are the T&Cs you agreed to when you deposited the cheques.

grumbler

Lokolo wrote: »

Did you not read the T&Cs beforehand?...

Foreign cheques depositing is usually the most vague area at all banks.

Foreign Cheques
Foreign currency cheques (other than euros) drawn on a bank anywhere and paid into your account with us; and sterling/Euro cheques drawn on a bank abroad and paid into your account with us. The term ‘foreign cheque’ includes drafts and money/postal orders.
Negotiation of a Foreign Cheque
We may, at our discretion, credit a foreign cheque to your account without waiting for it to be paid. If the foreign cheque is subsequently returned unpaid, we may deduct the amount credited (or re-converted if converted into another currency) from your account together with a return fee of £25.
The following charges are based on the gross value (sterling equivalent) of each foreign cheque.
Charge per cheque:
Up to £100
£100.01 to £5,000
£5000.01 to £10,000
£10,000.01 to £50,000
Over £50,000.01
£6
£12
£24
£34
£60
In addition to our fees, any fees charged by our agent and/or correspondent banks and/or the bank on which the foreign cheque is drawn will also be deducted from your account.
Collection of a Foreign Cheque
If you or we, at our discretion, require confirmation that a foreign cheque has been paid, we will arrange to clear it on a collection basis. This means that the proceeds will be credited to your account only when they have been received by us. If the foreign cheque is returned unpaid, we will deduct a return fee of £28 from your account.
Charge per cheque
If sent by courier at your request
£28
£10

Does this really explain £28, $45 and $120? The only £28 I see is the fee for a bounced cheque and for sending something by courier at the customer's request. Neither was the case.
And I just like this "at our discretion"...

The only fact that is really clear is that banks have to be avoided like plague when it comes to depositing foreign cheques.

opinions4u

The thing I would like to know is, is there anything i can do about this because had I of known of the enormous charges i would have gone elsewhere.

You complain.

If you're not happy with the outcome you go to the FOS.

No more complicated than that.

mulronie

Those charges seem pretty outlandish, especially as HSBC's USD correspondent is HSBC's own New York branch, but you did give them permission to deduct them.

I would raise a formal complaint, outlining that you acted based on the information given to you by the manager, and had you been told the true extent of the fees you would not have conducted the transaction.

Oh and in future, if you expect to receive USD "checks" and you have a trustworthy friend living stateside, you should look into endorsing checks to a third party and being wired/PayPal'd the money by them, instead of putting the cheques through a UK bank.

yummymoney

Thanks Mulronie,

I thank the charges are actually illegal. I have checked their T&C's and it makes no mention (to the best of my knowledge as it goes on for pages and pages in tiny lettering) of these charges.

I am not sure who I should write to, should it be the branch? Higher up? if so who is the best person to contact?
Read something here about FOS?? What is that, should I involve them?/how?

Excuse my ignorance with this, I am on here for advice as I don't know what to do.

thanks.

-


P.S. The reason I used a second thread was because some t*ats before were just trolling on my previous post.

-

grumbler

Why illegal? Is it not a far too strong word?

The T&C take just 5 pages of normal lettering. The relevant part is quoted above, although it doesn't explain your charges.

HSBC Complaints

FOS

jonesMUFCforever

OP you seem to think HSBC have charged you the agents fees.
They havent - they merely pass on charges their agents have imposed on them.
By all means complain and go to the ombudsman but I don't see you getting very far.